RJ Reynolds slips as Deutsche cuts to 'hold'

MarkCotton

NEW YORK (CBS.MW) -- RJ Reynolds
rjr
was lower in morning trade after Deutsche Bank downgraded the second largest tobacco company in the U.S. to "hold" from "buy". Analyst Marc Greenberg cited uncertainty linked to the yet-to-be finalized merger with BAT's U.S. tobacco unit Brown & Williamson and "choppy" near-term fundamentals. Greenberg raised his 2003 EPS forecast for rival Altria
MO, +1.39%
by 3 cents to $4.65. Deutsche Bank said any delay in RJ Reynolds' merger with Brown & Williamson or any slowdown in the restructuring of its brand portfolio beyond the middle of 2004 would "likely hiccup the stock." The analyst also said that trade contacts have indicated that PMA USA premium brands are making gains against RJR's portfolio, including its core Camel brand. RJ Reynolds was last trading down 67 cents, or 1.1 percent at $57.38 while Altria slipped 20 cents, or 0.4 percent at $54.01

Intraday Data provided by SIX Financial Information and subject to terms of use.
Historical and current end-of-day data provided by SIX Financial Information. Intraday data
delayed per exchange requirements. S&P/Dow Jones Indices (SM) from Dow Jones & Company, Inc.
All quotes are in local exchange time. Real time last sale data provided by NASDAQ. More
information on NASDAQ traded symbols and their current financial status. Intraday
data delayed 15 minutes for Nasdaq, and 20 minutes for other exchanges. S&P/Dow Jones Indices (SM)
from Dow Jones & Company, Inc. SEHK intraday data is provided by SIX Financial Information and is
at least 60-minutes delayed. All quotes are in local exchange time.